Oil edges higher as dollar weakens, U.S. gasoline stocks drop
SINGAPORE, Oct 28 (Reuters) - Oil gained as the dollar weakened and U.S. gasoline stockpiles posted a surprise drop, while doubts lingered about the size of expected monetary stimulus by the Federal Reserve.
"I see the decline in gasoline stocks as quite positive for the oil market, especially because we don't usually see these drops this time of year," said Ben Westmore, a commodities analyst at National Australia Bank.
Gold inches higher as markets eye Fed move
SINGAPORE, Oct 28 (Reuters) - Gold prices inched higher, and the dollar edged lower, as investors reassessed expectations of the Federal Reserve's decision next week on monetary easing.
"Gold prices are likely to be rangebound in the short term, as investors wait for the Fed's decision next week. We've seen different opinions on what the Fed would do and how the dollar would move," said Zhu Yilin, general manager of the research and development department of Jingyi Futures in Shanghai.
OIL: Crude steady, capped by sagging U.S. demand
SINGAPORE, Oct 28 (Reuters) - Oil edged higher as the dollar weakened on Thursday, but gains were limited by government data showing U.S. demand receded last week, raising questions about how much expected monetary stimulus would lift consumption.
Total U.S. product demand fell 0.3 percent in the four weeks to Oct. 22 from a year earlier, the Energy InformationAdministration reported on Wednesday, with gasoline use down 0.8 percent in the period.
COMMODITY MARKETS: Ends down as dlr up on Fed stimulus rethink
NEW YORK, Oct 27 (Reuters) - Most commodities fell on Wednesday, hurt by a strong dollar and risk reduction by those fearing the U.S. Federal Reserve may be less aggressive than previously thought in efforts to stimulate the economy.
"Given the price action, we can assume they (investors) are trimming those short dollar bets," said Omer Esiner, chief market analyst at Commonwealth Foreign Exchange.
GLOBAL MARKETS: Dollar up; stocks, commodities down, eyes on Fed
NEW YORK, Oct 27 (Reuters) - The dollar rose while stocks and commodities fell on Wednesday on doubts over how aggressively the Federal Reserve is going to attempt to stimulate the flagging U.S. economy.
"The dollar's slide since September has been pricing in aggressive price action by the Fed to around $1 trillion," said Omer Esiner, chief market analyst at Commonwealth Foreign Exchange.
U.S. consumer confidence, home prices remain weak
NEW YORK, Oct 26 (Reuters) - Data on Tuesday underscored the fragility of the U.S. economic recovery, with consumer confidence rising but still weak and home prices falling again after gaining earlier in the year.
The reports reinforced the belief the U.S. Federal Reserve will embark on another round of monetary policy stimulus to support the economic recovery, possibly as soon as next week.
PRECIOUS-Gold eases as dollar firms, WSJ predicts gradual QE
LONDON, Oct 27 (Reuters) - Gold eased towards $1,330 an ounce in Europe on Wednesday as the dollar firmed versus the euro after a report said the Federal Reserve would likely adopt a gradual approach to further U.S. monetary easing.
"I think the Fed won't go as big on QE2 as people have been expecting, and i think the dollar (will) firm into year-end," said Simon Weeks, head of precious metals at the Bank of Nova Scotia. "It's just a question of time before we are lower."
FOREX-Dollar gains as short positions cut before Fed
LONDON, Oct 27 (Reuters) - The dollar rose broadly on Wednesday as signs the U.S. Federal Reserve would take a more gradualist approach than expected to new quantitative easing next week prompted players to liquidate some short dollar positions.
"There is a sense that the Fed might go for QE light, rather than a second round of shock and awe," said Michael Derks, currency strategist at FXPro.
Doubts on Fed lift dollar, hurt stocks
LONDON, Oct 27 (Reuters) - Doubts over how aggressively the U.S. Federal Reserve is going to stimulate a flagging recovery with another round of money-printing weighed on world equities and commodities while boosting the dollar.
"Underlying sentiment has clearly deteriorated ... the market is moving away from the expectation of a huge initial increase in QE to this rather incremental approach," said Nick Stamenkovic, rate strategist at RIA Capital Markets in Edinburgh.
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